Kaiser Foundation Health Plan and Hospitals Report Second Quarter Net Income $620 million
Posted Aug 09 2009 10:58pm
Look at the numbers for the year to date and the net income is 1.1 billion, where as at the same time last year the numbers were 601 million. They have experienced membership declines as well as the rest of the insurers. Earlier this year there was this report so I’m a bit confused here with the numbers cited, and perhaps the article below related towards their investment areas.
Something Kaiser is doing and other as well is using “medical migrant doctors”, on contract and those that travel to different locations to practice without being on staff and this might account for some savings as well as outsourcing a big chunk of their IT department recently.
One other item to give some consideration to, is their overall connected HealthCare solutions and bringing patients and healthcare workers together in time saving, more efficient manners, including giving patients access to their health records online and the capability of using HealthVault to share and move them if needed, technology might finally be paying off a bit here. BD
OAKLAND, Calif., Aug. 7 /PRNewswire/ -- Kaiser Foundation Health Plan, Inc., Kaiser Foundation Hospitals, and their subsidiaries (KFHP/H) reported today a combined total operating revenue of $10.5 billion for the quarter ended June 30, 2009, compared to $10.1 billion in the second quarter of last year. Operating income in the second quarter was $411 million, versus $499 million in the second quarter of last year. Net non-operating income was $209 million in the second quarter, compared to a net non-operating loss of $148 million in the second quarter of last year. As a result, second quarter net income was $620 million, versus $351 million in the second quarter of last year. These represent the combined operating results for Kaiser Foundation Health Plan, Inc., Kaiser Foundation Hospitals, and their subsidiaries.
For the six months ended June 30, 2009, total operating revenue was $21.1 billion, compared to $20.2 billion in the same period last year. Year-to-date operating income was $1.0 billion, which is equivalent to the operating income reported in the same period last year. Net non-operating income was $15 million in the first six months of the year, compared to a net non-operating loss of $443 million in the same period last year. As a result, year-to-date net income was approximately $1.1 billion, versus net income of $601 million in the same period last year.
Total membership declined by nearly 36,000 members and remained at approximately 8.6 million in the first six months of the year. Capital spending totaled approximately $1.1 billion in the year-to-date period, which is comparable to the capital spending reported in the same period last year.